Should IT companies begin outsourcing their functions? Outsourcing is the strategy of giving over the responsibility of a certain company to other workers. In 2018, the market size was over $85.6 billion, and it’s only been growing since. The most popular premise for outsourcing IT is to cut costs, including 69% of these IT companies. Still, 64% are implementing this as a mean for potential strategic transformation. With that, here are the advantages and disadvantages of IT outsourcing.
Top Quality Work
It isn’t easy to find talented workers in general, so why not expand your horizon? For many companies who lack specific expertise in their workspaces, outsourcing is the perfect solution. With the factor of location eliminated, the pool of capable workers becomes enormous and is accessible at any given time of need. Instead of struggling through interviews with amateur people in your office, let a great one do the work through outsourcing.
69% of companies outsource for this very reason, and it’s clear to see why. Contracted workers bring so many unique benefits that in house workers lack. First, one can outsource for specific projects, paying only for finished work, instead of paying a salary that includes sick pay and insurance. In addition, hiring contractors removes the need of paying for expensive employee training. While some worry that contractors will try to renegotiate pay at times, it’ll more commonly save money.
Focus on Your Craft
Specifically for smaller startups, it can be stressful to need to deal with multiple aspects of the company at once. When people are forced to work outside of their designated areas, the atmosphere in the workspace can be spoiled. Outsourcing a specific role can open up some breathing room for workers in the company to focus on their main objectives.
Many of these contractors provide service for many businesses at a time. Therefore, it is likely that they’ve invested in high quality equipment and cyber security, so you can rest assured your data is safe.
It is of utmost importance that you clarify the exact work you want done, including details, timeline, and level of quality. Furthermore, you can raise your chances of finding the right person by speaking to previous groups who’ve hired the possible contractors. Unfortunately, any contractor can deliver a more substandard job than what was expected.
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